Tata-owned Air India Lays Off 180 Employees Due to Business Model Streamlining
In a move aimed at streamlining its business model, Tata-owned Air India has laid off over 180 non-flying employees in recent weeks. Since Tata took over in January 2022, the airline has been undergoing efforts to reshape its operations and improve efficiency.
In a move aimed at streamlining its business model, Tata-owned Air India has laid off over 180 non-flying employees in recent weeks. Since Tata took over in January 2022, the airline has been undergoing efforts to reshape its operations and improve efficiency.
According to a spokesperson, the impacted employees were unable to avail of voluntary retirement schemes (VRS) or re-skilling opportunities provided by the company. The layoffs were part of a comprehensive process to assess employee suitability based on organizational needs and individual merit.
The spokesperson clarified that around one percent of the employee base, who couldn’t benefit from VRS or re-skilling programs, had to be let go. However, the company assured that all contractual obligations were being honored.
Since the takeover, Air India has offered two rounds of VRS as part of its transformational initiative Vihaan.AI. The focus has been on building an agile and effective organizational structure to support expansion and meet business objectives.
In related news, domestic air traffic saw a 4.8 percent increase last month, reaching ₹1.26 crore, while flight delays affected over 1.55 lakh passengers during the same period. Air India’s market share also saw a slight rise to 12.8 percent in February.
Sources By Agencies